Table 18-1 Suppose $1 Billion Is Available in the Budget and Congress

question 18

Multiple Choice

Table 18-1

Suppose $1 billion is available in the budget and Congress is considering allocating the funds to one of the following three alternatives: 1) Subsidies for education, 2) Research on Alzheimer's or 3) Increased border security. Table 18-1 shows three voters' rankings of the alternatives.
-Refer to Table 18-1.Suppose a series of votes are taken in which each pair of alternatives is considered in turn.If the vote is between allocating funds to education subsidies and increased border security,

• A)Ivy and Jasmine vote for education subsidies, Rose votes for increased border security, and education subsidies wins.
• B)Ivy and Rose vote for increased border security, Jasmine votes for education subsidies, and increased border security wins.
• C)Jasmine and Rose vote for education subsidies, Rose votes for increased border security, and education subsidies wins.
• D)Jasmine and Ivy vote for increased border security, Rose votes for education subsidies, and increased border security wins.

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Definitions:

United States Treasury

A government department responsible for managing federal finances, issuing currency, collecting taxes, and paying bills on behalf of the United States government.

Primary Reserves

Assets that are held by banks that are readily available to meet immediate withdrawal demands, such as cash and deposits with central banks.

Excess Reserves

Funds that banks hold over and above the required minimum reserves specified by central banking authorities, which can be loaned out or invested.

Reserve Requirements

The minimum amount of reserves that banks must hold against deposits, set by central banks to ensure liquidity and control the money supply.